EX-12 9 c78154exv12.txt EX-12 COMPUTATION OF RATIO OF EARNINGS EXHIBIT 12 H&R BLOCK, INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (AMOUNTS IN THOUSANDS)
2003 2002 2001 2000 1999 ---------- ---------- ---------- ---------- ---------- Pretax income from continuing operations (a) $ 987,077 $ 716,840 $ 473,078 $ 412,266 $ 383,541 ========== ========== ========== ========== ========== FIXED CHARGES: Interest expense 92,644 116,141 242,551 155,027 69,338 Interest portion of net rent expense (b) 70,574 63,458 59,268 52,263 39,206 ---------- ---------- ---------- ---------- ---------- Total fixed charges 163,218 179,599 301,819 207,290 108,544 ---------- ---------- ---------- ---------- ---------- Earnings before income taxes and fixed charges $1,150,295 $ 896,439 $ 774,897 $ 619,556 $ 492,085 ========== ========== ========== ========== ========== Ratio of earnings to fixed charges 7.0 5.0 2.6 3.0 4.5 ========== ========== ========== ========== ==========
(a) Pretax income from continuing operations is shown with the Credit Card Segment as Discontinued Operations for all years presented. (b) One-third of net rent expense is the portion deemed representative of the interest factor.